Pre-Qualification Criteria When Awarding Tenders

On June 14 2016, the Draft Procurement Regulations 2016 were released for public comment. One of the new Regulations that will certainly have an effect on the awarding of tenders is the “Pre-qualification criteria” that is stated in paragraph 10 which states the following criteria:

a. The tenderer must have a stipulated minimum B-BBEE status level of contribution;

b. The tenderer must sub-contract at a minimum of 30 per cent of the value of the contract to one or more:

Important Evaluations Before Responding to a Tender

Although bidding for a tender can be attractive, not all tenders will suit your criteria, experience and expertise. It is not wise to quickly jump into responding to any tender that you come across. An objective decision must be made as to whether or not to bid for a tender.

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Tender adjudication process

The SBD/WCBD6.1 document must form part of all bids invited. It contains general information and serves as a claim form for preference points for Broad -Based Black Economic Empowerment (B -BBEE) Status Level of Contribution, and explains how tenders or bids are decided.

The document says:

The bidder obtaining the highest number of points will be awarded the contract.

Preference points shall be calculated after prices have been brought to a comparative basis.